NiSource Inc (NI)
Inventory turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 1,536,300 | 1,899,600 | 2,465,700 | 1,733,300 | 1,500,000 |
| Inventory | US$ in thousands | 389,100 | 503,200 | 751,900 | 498,700 | 401,100 |
| Inventory turnover | 3.95 | 3.78 | 3.28 | 3.48 | 3.74 |
December 31, 2024 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $1,536,300K ÷ $389,100K
= 3.95
NiSource Inc's inventory turnover ratio has displayed a fluctuating trend over the past five years. In 2020, the inventory turnover was 3.74, indicating that the company sold and replaced its inventory approximately 3.74 times during the year. However, this ratio decreased to 3.48 in 2021 and continued to decline to 3.28 in 2022.
The inventory turnover ratio then experienced an upturn in 2023, reaching 3.78, before further improving to 3.95 in 2024. This indicates that NiSource Inc's efficiency in managing its inventory has shown some volatility but has generally improved over the period under consideration. Overall, a higher inventory turnover ratio suggests better inventory management and liquidity, while a lower ratio may indicate inefficient inventory control or overstocking.
Peer comparison
Dec 31, 2024